Golden Week Holidays in Korea, China, and Japan Drive Foreigners-Only Casinos to Record-High May Results

Paradise Achieves Record-High Monthly Revenue
Lotte Tour Development Posts Highest-Ever May Performance
Japanese Golden Week and Chinese Labor Day Overlap
Visitor Numbers and Drop Amount Both Rise; Hold Rate Improves
Tourist Influx to Korea Continues; Upward Trend Expected

Foreigners-only casino operators such as Paradise, Grand Korea Leisure (GKL), and Lotte Tour Development achieved their highest-ever monthly results last month. This was driven by a surge in visitors and increased spending on gaming, as the golden week holidays in neighboring Japan and China overlapped with each other.

According to industry sources on June 6, Paradise recorded its all-time highest monthly revenue of 98.9 billion won from its foreigner-only casinos operated at four locations—Paradise City in Incheon Yeongjongdo, Seoul Walkerhill, Jeju, and Busan—representing a 21.1% increase compared to the same period last year. The drop amount, which indicates the total amount customers paid to purchase chips, also reached a record monthly high of 765.3 billion won last month.

Industry analysts attribute the strong performance to an increase in tourists from Japan and China, as Japan’s “Golden Week” (April 29 to May 6) and China’s “Labor Day Holiday” (May 1 to 5) coincided with each other. As a result, there was a rise in VIP customers from Japan and mass (general) customers from China. In fact, 9,388 Japanese VIPs visited Paradise-operated casinos last month, a 15.3% increase compared to the same period last year.

Additionally, the addition of 501 rooms from the Hyatt Regency Incheon Paradise City, which Paradise completed acquiring in March, has expanded the capacity for complimentary VIP services (comps) at Paradise City Casino, which is also seen as a positive factor.

GKL, which operates Seven Luck Casino in Gangnam and Yongsan in Seoul and in Busan, also saw its revenue climb to 43.1 billion won last month, up 40.8% from the same period last year. The drop amount for the same period rose by 16% to 379.5 billion won. During this time, the number of casino visitors reached 17,984, a 20.7% increase year-on-year.

Lotte Tour Development’s Jeju Dream Tower Integrated Resort Casino also posted its highest-ever May performance since opening in 2021, with monthly revenue rising 19.5% year-on-year to 49.4 billion won last month. The number of casino users jumped by 23.4% to 63,192, and the drop amount increased by 6.9% to 207.6 billion won.

Except for Jeju Dream Tower, mainland casinos recorded poor first-quarter results as hold rates—a measure of casino win percentage—remained in the single digits in March. However, the industry expects a turnaround, as the recent golden holidays in Korea, China, and Japan have shifted momentum. In March, Paradise’s hold rate was 7.4% and GKL’s was 9.4%, in contrast to Dream Tower Casino’s rate in the 20% range. Last month, however, these rates rose to 12.2% and 11.4%, respectively.

Lee Hwajeong, a researcher at NH Investment & Securities, noted in a recent report on Paradise, “After a brief pause in June, when the holiday effect disappears, entering the peak season in July and August could see Paradise’s monthly revenue reach the 100 billion won range.”

This content was produced with the assistance of AI translation services.